Wayfair Inc. (NYSE:W) shares closed more than 3% higher on Friday following the company’s reported Q4 results, with EPS coming in at ($0.92), worse than the consensus estimate of ($0.71). Net revenue decreased 11% year-over-year to $3.25 billion, compared to the Street estimates of $3.29 billion.

According to the analysts at RBC Capital, Q4 was another tough quarter for the company, characterized by the 3rd straight quarter-over-quarter deceleration in active customers and negative EBITDA.

While the company thinks overall home furnishing consumer demand remains strong, they mentioned industry-wide e-commerce softness and continued margin pressure throughout the year.

The analysts lowered their 2022/2023 revenue estimates to $14.4 billion/$17.0 billion and their price target to $137 from $158, while maintaining their Sector Perform.